Shaft play on a turbo.... well the shaft moves around... ideally it should be set and only able to spin, no up/down movement or side to side.... but as turbo's get used they get worn, and the shaft begins to move up/down side to side... and if it moves enough the blades hit the housing, and you loose performance, you loose booostability, response and so on, you could eventually loose the engine. A bit of shaft play is nothing to worry about.... you know that you need to get it recoed pretty soon...

Yeah, as above, but up to 1 mm up and down is fine on most turbo's, there should be no play in and out.
If theres been alot of up/ down play you will see scrape marks inside the comp housing where the wheel has being hitting... if really bad the sound like a siren while driving

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